Everything You Need to Know About Company Incorporation in Panama.
If you are interested in starting a company in a place other than your home country, Panama has a favorable jurisdiction on offshore companies. 4 million and more than half of the population lives in the urban areas. Even though Spanish is Panama’s official language, you will find a lot of people in the urban areas who are fluent in English. This means that as long as you can speak fluent Spanish or English you will have the best time conducting business in this country. The jurisdiction governing the domestic and offshore companies is all the same. This is good news for foreigners who want to start companies in Panama because they will have it as easy as the Panama citizens who have started businesses in their country. To make it even better, you only pay tax for the income you have got in Panama. You will be surprised to note that corporations are usually registered and allowed to start operating in less than 2 days. There aren’t many countries around the world where you can be assured of this.
When it comes to forming your corporation, you should have three directors on board who will be your president, treasurer, and the third one will take the position of a secretary.You will also need two subscribers shareholder but before the incorporation, you only need one. The directors can also be the shareholders and you do not need any local in your company executive positions. Privacy and confidentiality are key in Panama incorporations which is why public records bear the names of the directors.The subscriber shareholders are kept away from all that. Taxation laws state that any Panama corporation which made a part of the income from other countries will not be required to pay tax for that. Panama has the best taxation rules for a corporation in the world.
In case you are doing business in Panama but you are not a resident in the country, the laws of the country make no requirement for you to publish the corporation’s financial statement on the public newspapers. Additionally, it is essential that you have a shareholder’s register but you might keep it anywhere you want even if it is not in Panama. Unlike in other countries, director and shareholder meeting is not mandatory and should a meeting of this nature be organized everyone who is not present may participate in the proceedings through the telephone. Even though there is a lot of freedom for companies operating in Panama, any corporation which needs to extend its bank, insurance or even trust services across the globe will have to conduct the Panama Financial Services Commision for permission to do so. These are more than enough reasons why Panama is the place you want to do business in.